Sales was D12,500, total expenses was D2,500 and net profit is 10% of sales what is the gross profit?

 

net profit = 0.1 x 12500 = 1250

gross profit = sales - cogs

net profit = gross profit - expenses

1250 + 2500

A.

D11,250

B.

D8,750

C.

D3,750

D.

D1,250

Correct answer is C

net profit = 0.1 x 12500 = 1250

net profit = gross profit - expenses

Therefore; net profit + expenses = gross profit

1250 + 2500 = 3750